Riverside Multifamily Investment
For Sale
$920,000
1195 Spring St, Riverside, CA 92507
Five-unit multifamily property in Riverside with stable income potential.
Property Size3,264 SF
Lot Size0.21 Acres
Price / SF$281.86
Days on Market151
Property Features for 1195 Spring St
General Information
Standard status
Active
Size
3,264 SF
Lot size
0.21 Acres
Property subtype
Multifamily
Amenities
6.55% Current Cap Rate & 7.32% Year 1 Cap Rate
One & two bedroom floorplans
Single-story construction
5 carport parking spaces & 4 open space parking
On-site laundry room
Individually metered for gas & electricity
Building Details
Building Size
3,264 SF
Units
5
Listing Agency:
MARCUS & MILLICHAP
(626) 695-6776
Listed By:
Douglas McCauley · License #License(s): CA: 01155706
(626) 695-6776
Source:
Marcusmillichap
Added: Mar 27
Changed: Aug 23
Last Checked: Aug 22 at 1:34PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of MARCUS & MILLICHAP
Investment Insights
Based on property information with market context.
This five-unit multifamily property, constructed in 1962, offers 3,264 rentable square feet on a 0.21-acre lot in Riverside. The property features a mix of one and two-bedroom floor plans within a single-story building. On-site amenities include a laundry room, wall-mounted air conditioner and heater units, and separate gas and electricity meters for each unit. The property utilizes a septic system. Parking is provided by 5 carport spaces and 4 open spaces. Riverside's investment environment is supported by a diverse employment base, ongoing population growth, and relative affordability compared to coastal markets. Major employers include the County of Riverside, March Air Reserve Base, and the University of California, Riverside, contributing to stable housing demand from government, military, academic, and healthcare professionals. Residents benefit from access to Downtown Riverside amenities such as the historic Mission Inn, the Fox Performing Arts Center, and outdoor recreation at California Citrus State Historic Park. Downtown reinvestment initiatives, including the Riverside Alive project with new residential, office, retail, hotel uses, and convention center expansion, are expected to further reinforce long-term economic growth and rental demand. This well-located multifamily asset is positioned for durable income and long-term appreciation.
Key Highlights
- Stable income and long‑term appreciation potential in a growing Inland Empire market.
- Functional unit mix of one and two‑bedroom floor plans.
- Separately metered for gas and electricity, limiting utility exposure.
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$44,316
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
4.82%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$886,320
$886.3K
Cap Rate 7%
$633,086
$633.1K
Cap Rate 9%
$492,400
$492.4K
Market Conditions
NOI Build-Up for 3,264 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$85.0K $26.04/SF
− Vacancy
−$4.4K −$1.35/SF
EGI
$80.6K $24.69/SF
− OpEx
−$36.3K −$11.11/SF
NOI
$44.3K $13.58/SF
Area
ZIP 92507
Vacancy
5.20%
Lease Rate
$26.04 /SF/Yr
Expense Ratio
45.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$886,320
Cap Rate 7%
$633,086
Cap Rate 9%
$492,400
Alternative Uses
Best Use
Apartment 5plus
$633.1K
$554.0K – $738.6K
NOI $44,316 @ 7.0% cap · market cap 4.82%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.12M
$978.8K – $1.31M
NOI $78,303 @ 7.0% cap · market cap 8.51%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
551
Businesses Nearby
Explore this area
Business Placement
Demographics for 92507, CA
63,191
Population
19,739
Households
3.2
Avg Household Size
28
Median Age
32%
College-Educated
84%
High-School Grad
21.4 sq mi
ZIP Area
2,953
Density / Sq Mi
$72,367
Median Household Income
$31,961
Median Earnings
$1,780
Median Rent
$503,000
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Five-unit multifamily property in Riverside with stable income potential.
Where is this apartment building located?
The property is located at 1195 Spring St Riverside, CA.
What is the asking price?
The asking price for this property is $920,000.
What are key features of this property?
This property features: Stable income and long‑term appreciation potential in a growing Inland Empire market.; Functional unit mix of one and two‑bedroom floor plans.; Separately metered for gas and electricity, limiting utility exposure.
